BUSINESS BRIEFS.(TO THE POINT)

MEDICAL

Cardinal Health drags on sector

The drug wholesaler's shares plunged 24.5% to a 14-month low of 52.86 after it cut its Q4 earnings forecast to 93-95 cents a share, below views of $1.03. The forecast change was prompted by supply chain problems and delayed regulatory approval. Cardinal's misfortune appeared to pull down rivals AmerisourceBergen, which slid 7% to 55.73, and McKesson, which fell 10% to 30.96.

Charles River Lab to buy Inveresk

The provider of animals for drug research will pay $1.5 bil for Inveresk Research, which conducts pretrial and clinical drug safety testing for drug and biotech firms. The deal will create a company with 7,300 employees and $920 mil in revenue, or 45% more than Charles River's '03 revenue. Charles River is offering 0.48 shares plus $15.15 in cash, resulting in a 25% premium to Inveresk's stock. Charles River shares fell 11.5% to 43.22; Inveresk rose 14% to 35.19.

** Charles River raised Q2 profit views to 50-51 cents a share vs. 47 cents expected, citing an improved market for outsourcing drug development ...